PayUMoney ties up with redBus to woo customers to wallet

PayU, started in 2011, is part of Naspers Group, which owns companies such as redBus, OLX and Goibibo.Vasumita S Adarsh | ET Bureau | Updated: August 31, 2015, 11:40 IST

PayU, started in 2011, is part of Naspers Group, which owns companies such as red-Bus, OLX and Goibibo. PayU India has entered into an exclusive partnership with online bus ticketing platform redBus to offer cash-back discounts to customers who use its wallet PayU Money to buy tickets, boosting transactions by 25% since the arrangement started in April.

“Today, roughly 50% of bookings on redBus are through the PayU Wallet and this promotion is in line with our strategy to increase our wallet customers from the current 5 million to 20 million by this financial year end,” said Nitin Gupta, CEO of PayU India.

PayU is also looking to increase the number of its merchant customers fivefold from current 90,000 to 2.5 lakhs by March.

Payments on redBus can also be made with credit and debit cards, net banking and cash on delivery.

PayU, started in 2011, is part of Naspers Group, which owns companies such as redBus, OLX and Goibibo.

The company is now forming similar alliances in the travel booking space and integrating with sites such as MakeMyTrip, Goibibo and Cleartrip.

redBus, too, has benefitted from this arrangement, with its market share growing to 75% from 70% and bookings with the wallet going up 50 times.

“Tying up with PayU has also helped us increase discovery of our buses with GPS facility as we ran more offers for GPS-enabled buses,” said Prakash Sangam, CEO of redBus.